Nigeria’s manufacturing Purchasing Managers’ Index drops to 49.2 in May

The manufacturing Purchasing Managers’ Index (PMI) for Nigeria, which takes the temperature of the sector declined from 51.0 to 49.2 in May, its lowest since January last year, according to a report conducted by FBNQuest Capital
According to FBNQuest Capital, the general theme from respondents was uncertainty over demand, due in part to Ramadan, which started in mid-May.

“Most respondents reported no change across the sub-indices: the proportion was beyond 70% for four of the sub-indices,” it said.

“In May, as the previous month, respondents were uncertain about consumption patterns. While inflationary pressures have eased, anecdotal evidence indicates that household demand remains subdued as consumers have adopted a cautious spending stance.

“However, on a supply-side basis, imported inputs and finished goods remain accessible as the CBN’s fx reforms have resulted in improved fx availability.”